The business sector has revised Thailand's 2017 export forecast upwards on the back of brighter local and global economic outlooks, says Isara Vongkusolkit, chairman of the Thai Chamber of Commerce.
Isara: Warning on external risks
Mr Isara spoke on behalf of the Joint Standing Committee on Commerce, Industry and Banking (JSCCIB), which he said forecasts this year's exports to grow by 1-3%, due largely to stabler oil prices, which will make it easier for importers to plan ahead.
The JSCCIB had earlier predicted growth of 0-2%, he said.
Mr Isara said rising farm product prices would also help increase export value and generate more income for the country this year, at a time when prices of other major commodities are trending upwards.
"Last year's drought has ended, and that provides room for farmers to produce more and earn more," Mr Isara said.
He said the exchange rate is also expected to be stabler this year and further support exports.
With rising exports, the JSCCIB expects GDP to grow 3.5-4% this year, he said.
The prediction is in line with the Bank of Thailand's forecast, which sees GDP growth of 3.2%.
Mr Isara said government spending is also expected to help boost the economy this year, with jobs being created by major infrastructure projects.
"It depends on how fast and how effective the government's budget disbursement will be," he said.
But the JSCCIB also sees some risks this year, mostly external factors, which will affect demand and exports and cause an adverse impact to the economy.
Mr Isara said the government should monitor all external factors closely and prepare immediate support measures for the business sector if companies are negatively affected.
Businesses expect the government to continue its projects in order to attract foreign investors and boost the economy in the long run, he said.